While these financial roles share common goals, they support different stages of the accounting process. As a business owner, it is important to know the difference.
An accountant looks at a company’s financial big picture. They analyse and interpret data, compile reports and financial statements, and prepare taxes. A bookkeeper, on the other hand, handles the day-to-day financial transactions. A bookkeeper carefully records transactions, sends invoices, handles payroll, and makes sure bills are paid on time.
An accountant should be a key player on your team from day one because the essential role of an accountant is to make sense of the numbers and help you strategically plan in your business. An accountant is trained to help you take those numbers and turn them into something far more meaningful. They will help you to identify how ‘healthy’ your business and cashflow is and help with budgeting, forecasting and decision making.
Create a Story
Many business owners only talk to their accountant once a year – at tax time. However, often for that previous tax year it is a conversation too late. Once the financial year is over there may have been missed opportunities to increase profit or reduce tax. Great accountants don’t just take care of tax-prep and compliance issues. Numbers really do tell a story and today’s entrepreneurs are turning to qualified business accountants to help drive success and business profits.
If your business is new and finances are tight then we recommend you do your own bookkeeping but meet with your accountant regularly to help your business prosper. Once you have your cashflow in order and the business is starting to turn a profit then you may decide to hire a bookkeeper. While you may decide to have both a bookkeeper and an accountant, you need to be clear on the different roles that they can play in your business and that one isn’t a substitute for the other.
Unsure On What Is The Best Strategy?
If you are unsure if an accountant or bookkeeper is more effective for your circumstances make sure you speak to one of our accounting experts that can guide you to achieve the best outcome based on your current circumstances. Need a second opinion on your financial situation? Get in touch for an obligation-free meeting and start your journey on financial freedom today.
Who We Are
Aero Accounting Group is a leading accounting firm that assists SMEs and individuals achieve their true potential via the 6-Pillar strategy in order for their clients to live a financially abundant, stress-free and more fulfilling life.
Get in touch today at 02 8417 1090 or email us at email@example.com